Floating Rate????

I recently applied for a FHA mortgage loan through Bank of America...the builder told me they have a guaranteed 5.875% rate through their preferred lenders...but then turned around and said it's not guaranteed through BoA...I was approved through BoA last year...but that did not go through because of moving to a new state, with a new job, and a new pay...and with worst scores than I have now...and the process was fairly easy..I bank with them and would rather go the the mortgage loan with them...when I called she said the rate would be a floating rate...and it wouldn't be locked until closing...what does this mean for me...with a FHA loan...what's the highest this rate can go up to...I live in Houston, TX...here's my profile:

Re: Floating Rate????

I know...they won't lock in the 5.875%..but I don't understand the whole floating rate thins...your a LO...maybe you can explain a little for me...what's the highest it can go up to with a FHA...what makes it floating...and at what point is it locked...

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